REPORT DIGEST DEPARTMENT OF REVENUE FINANCIAL
AUDIT AND COMPLIANCE
EXAMINATION For the Year Ended: June 30, 2005 Summary of Findings: Repeated from last audit 0 Release Date: April 25, 2006
State of Illinois Office of the Auditor General WILLIAM G. HOLLAND AUDITOR GENERAL
To obtain a copy of the
Report contact: Office of the Auditor
General Iles Park Plaza, 740 E. Ash Street Springfield, IL 62703 (217) 782-6046 or TTY (888) 261-2887
This Report Digest and Full
Report is also available on the worldwide web at http://www.state.il.us/auditor |
SYNOPSIS ¨ The Department did not comply with the State Officials and Employees Ethics Act. {Expenditures and Activity
Measures are summarized on the next page.} |
DEPARTMENT OF REVENUE
EXPENDITURE STATISTICS |
FY 2005 |
FY 2004 |
|
(in thousands) |
|
Total Expenditures (All Funds)........................................... |
$8,089,177 |
$7,955,664 |
OPERATIONS
TOTAL..........................................................
% of Total Expenditures..................................................... |
$226,299
3% |
$233,531
3% |
Personal Services................................................................
% of
Operations Total Expenditures..................................
Average
Number of Employees........................................ |
$109,547
48%
2,124 |
$117,593
50%
2,304 |
Other Payroll Costs (FICA, Retirement)...............................
% of
Operations Total Expenditures.................................. |
$34,007
15% |
$31,537
14% |
Contractual Services...........................................................
% of
Operations Total Expenditures.................................. |
$37,783
17% |
$41,267
18% |
All Other Operations Items..................................................
% of
Operations Total Expenditures................. |
$44,962
20% |
$43,134
18% |
|
|
|
AWARDS
& GRANTS, REFUNDS TOTAL..........................
% of Total Expenditures..................................................... |
$3,964,338
49% |
$4,066,930
51% |
NON-APPROPRIATED
FUNDS...........................................
% of Total Expenditures..................................................... |
$3,898,540
48% |
$3,655,203
46% |
Total Deposits Remitted to the State Treasury |
$28,547,732 |
$27,221,961 |
Income Taxes.........................................................................
% of Total Revenues......................................................... |
$11,521,783
40% |
$10,667,656
39% |
Sales Taxes.............................................................................
% of Total Revenues......................................................... |
$10,631,440
37% |
$10,155,179
38% |
Motor Fuel
Taxes....................................................................
% of Total Revenues......................................................... |
$1,360,349
5% |
$1,352,198
5% |
Public
Utilities Taxes...............................................................
% of Total Revenues......................................................... |
$1,729,792
6% |
$1,705,742
6% |
Other
Collections.....................................................................
% of Total Revenues.......................................................... |
$3,304,368
12% |
$3,341,186
12% |
PROPERTY AND EQUIPMENT at June 30, |
$27,804 |
$29,733 |
SELECTED ACCOUNT BALANCES at June 30,
Taxes
Receivable.................................................................. Allowance for Uncollectible Taxes......................................... Net Taxes Receivable........................................................ |
$2,014,435
(645,062)
$1,369,373 |
$1,966,841
(753,464)
$1,213,377 |
DEPARTMENT
DIRECTOR
During Audit Period: Brian A. Hamer
Currently: Brian A. Hamer |
Time spent on official
State business was not documented in accordance with the State Officials and
Employees Ethics Act |
FINDINGS, CONCLUSIONS, ANDRECOMMENDATIONS INADEQUATE CONTROLS OVER EMPLOYEE TIMEKEEPING
The Department did not have
adequate controls over employee timekeeping.
The Department had personnel policies in regard to timekeeping, but
each division within the Department followed their own policies and
procedures. However, these policies
and procedures did not require all employees to maintain a daily timesheet
which documented the time spent each day on official State business. (Finding 1, page 10) We recommended the Department comply
with the State Officials and Employees Ethics Act by developing a consistent
written policy regarding timekeeping requirements and requiring employees to
submit timesheets recording time spent on official State business to the
nearest quarter hour. The
Department stated that the Department uses for all employees the State of
Illinois timekeeping system that is administered by the Department of Central
Management Services. In addition,
the Department utilizes a number of local systems throughout the agency that
employees use on a daily basis to record their time on the job, and they
believed their current practice complied with State Law. The Department will institute a new policy
that will require employees to submit timesheets recording time spent on
official State business to the nearest quarter hour by April 30, 2006. AUDITORS’ OPINION Our
auditors stated the financial statements of the Department of Revenue as of
June 30, 2005, and for the year then ended are fairly presented in all
material respects. ____________________________________ WILLIAM G. HOLLAND, Auditor
General WGH:TLD:pp SPECIAL ASSISTANT AUDITORS
Our special assistant auditors on this audit were McGladrey & Pullen, LLP. |